Dear President Donald Trump
Here are some statistics you may not be aware of
POPULATION IN MILLIONS
India – total 1,438 – adult 966 – % of total 67% – workforce 596 – % of adult 62%
China – total 1,417 – adult 1,134 – % of total 80% – workforce 772 – % of adult 68%
USA – total 340 – adult 258 – % of total 76% – workforce 168 – % of adult 65%
Russia – total 144 – adult 111 – % of total 77% – workforce 75 – % of adult 68%
Germany – total 83 – adult 68 – % of total 82% – workforce 46 – % of adult 68%
Australia – total 26 – adult 22 – % of total 85% – workforce 15 – % of adult 68%
As you would know the most critical STATISTIC in business and for government is the Volume/Cost/Price Mix.
In the Western World Volumes are down – costs are up – and prices are inflated to stay in business.
Volumes are down due to imports from China and BRICS.
Costs are up because TAXES and Government Charges are 50% of the prices of most goods and services.
Prices are inflated causing high interest rates, high home and business loan repayments, loss of homes and businesses, homelessness and poverty.
Please understand that TAXES and Government Charges find their way into the PRICES of ALL goods and services making them unaffordable and uncompetitive.
The Governments of the Western World think they can manage their Economies and Financial positions by TAXING GDP at under 30% but fail to provide the services the People are reasonably entitled to expect, including health, education, social security, law and order and defence. Endless budget deficits and mounting National Debt cripple the Nation’s Financial position and standing around the World.
It would be reasonable to think that faced with the above Western World Leaders, Politicians, Bureaucrats, Economists, Academics and the Media would be asking the Question “What has gone wrong?” but NO they are only consumed by their 3Ps – Pay – Perks – Pensions.
You may think me smug but in the late 1970s I could see the above was inevitable and researched an alternative to EXISTING TAXES and the use of GDP to measure an Economy. This research revealed that TAXING incomes, profits and goods and services had to go, by businesses taking these TAXES off the prices of their goods and services. With the reduced prices and workers keeping their take-home-pay couples would have the income to afford to have a family. In Australia a Government’s slogan was “Populate or Perish.” I then researched an alternative to GDP and related back to my experience with my Dad, who was a Member of the London Stock Exchange and a Broker/Dealer. He had told me that their biggest Client was the Church of England, not taxed. Also, as an Auditor in London I had audited the Royal Estates with the Crown holding the Freehold Title and the tenants holding 99 year leases. In effect the tenants were property right SLAVES to the Crown, not taxed. I had also audited a Merchant Bank who were heavily involved in speculative investment in Government Bonds and Securities, not taxed. Having been involved in TAXATION mitigation including through transfer pricing it then dawned upon me that the true and fair measure of an Economy is the Open Market Value of All Changes Of Ownership into, within and out of a Nation i.e. (ACOO). As there were no Government statistics of ACOO I did my own research and came up with a figure I knew was understated. By taking TAX out of the cost of Government, I then calculated that a single simple 2% TAX on ACOO would fully fund Government. In 1985 I first published 2% TAX in a Presentation to Australian PM Bob Hawke for his Tax Summit. At the time my wife Val and I thought it would take 10 years before 2% TAX would be implemented.
Now is the time for you to research and implement 2% LIBERTY TAX to MAGA and bring PEACE to the World as your legacy.
Kind regards
Derek Smith CA
